Who is the Caring Transitions Right of First Refusal agreement binding upon?

Based on the 2025 Caring Transitions Franchise Disclosure Document, the Right of First Refusal agreement is binding upon the franchisee. Specifically, the franchisee cannot assign the Right of First Refusal to any other party, even if they sell their franchise, without Caring Transitions's prior written consent. Caring Transitions may withhold this consent for any reason.

Conversely, Caring Transitions can assign the agreement, but only to a party who agrees to assume all of Caring Transitions's obligations to its franchisees in connection with a merger or a sale of substantially all of Caring Transitions's assets. This ensures that the franchisee's rights under the Right of First Refusal are maintained even if the ownership of the Caring Transitions franchise changes.

This clause protects Caring Transitions by ensuring that the Right of First Refusal remains with the original franchisee unless Caring Transitions approves a transfer. It also protects the franchisee by ensuring that their Right of First Refusal is honored if Caring Transitions is acquired or merges with another entity. Prospective franchisees should carefully consider these conditions and restrictions before entering into a franchise agreement with Caring Transitions.